SOURCE: Credit Karma

July 14, 2010 06:00 ET

Consumer Credit Card Debt Down in First Half of 2010

Credit Scores Also Decrease, According to Credit Karma

SAN FRANCISCO, CA--(Marketwire - July 14, 2010) -  Credit Karma (www.creditkarma.com), the consumer's credit advocate, today released its U.S. Credit Score Climate Report with trend data for the first half of 2010. Credit card debt amongst consumers with a credit card decreased 1% during the first half 2010. Consumers in Hawaii and New Hampshire showed the biggest decrease in credit card debt since the beginning of the year with debt decreasing by eight percent. The current credit card debt is $9,042 and $8,505 respectively. In June, the average consumer with an open account had:

  • $7,833 in credit card debt
  • $174,637 in home mortgage loans
  • $50,840 in home equity
  • $15,096 in auto loans
  • $28,161 in student loans

Nationally, credit scores dropped for the first time in 2010. In June, the average consumer had a credit score of 668, down one point since January.

Here are some other key findings:

  • Consumers in the Houston and Miami MSAs saw the biggest increases to their credit scores during the month of June. Credit scores increased three points in both MSAs.

  • Consumers in California and Massachusetts have the highest credit scores nationally in June 2010 with credit scores of 686 and 685 respectively.

  • Consumers in Iowa saw the biggest increase to their credit score with credit scores increasing three points to 667 in June 2010.

  • Arkansas consumers had the lowest credit scores nationally in June 2010 with the average credit score being 30 points below the national average at 638.

Methodology
Each month, the Credit Karma U.S. Consumer Credit Score Climate Report compares the current credit scores of its user base with previous scores pulled at least 30 days prior and no more than 90 days prior to the stated month. This month's report includes a comparison of more than 125,800 Credit Karma user scores.

About Credit Karma
Credit Karma enables consumers to put their credit to work for their overall financial health. Credit Karma's goal is to help its more than 1 million users realize the everyday cost savings of having a good credit score by providing a range of tools and resources to help consumers improve their financial situation. For more information, visit www.creditkarma.com.

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